Training expenses

Hi
Scenario: A limited company with one director/shareholder.
Wife does a training course (unrelated to original business activity, funded by herself) and then becomes a director/shareholder of the company and starts to work in her new field through the company.
My question is, are the training expenses incurred allowable? I think not:
http://www.hmrc.gov.uk/manuals/eimanual/EIM01235.htm
But would be grateful for any other input.
Why do some clients always tell you after the event?
Thanks
Dottie
Scenario: A limited company with one director/shareholder.
Wife does a training course (unrelated to original business activity, funded by herself) and then becomes a director/shareholder of the company and starts to work in her new field through the company.
My question is, are the training expenses incurred allowable? I think not:
http://www.hmrc.gov.uk/manuals/eimanual/EIM01235.htm
But would be grateful for any other input.
Why do some clients always tell you after the event?
Thanks
Dottie
0
Comments
I think I'd also raise the question of 'wholly, exclusively and necessarily'; if the training had nothing to do with the business' current activity and it was undertaken by someone who's not even an employee then how would you demonstrate that it was wholly, exclusively and necessarily incurred?
1. What was the lead time between the wife finishing the training course and starting her position and
2. Can you confirm that part of the intention of bringing her into the company was to expand the trading activities of the company and how distant are these activities?
I agree that it's very unlikely to qualify but depending on your answers to the two questions I would argue that there is at least potential for scope.
Dottie